Tesla and SpaceX CEO Elon Musk is reviving his offer to buy Twitter for $54.20 per share, which is about $44 billion, following a tense legal battle between himself and the social media platform, according to a regulatory filing.
Twitter issued a statement indicating it intends to close the deal at the original agreed-upon price after Musk's announcement.
Twitter shares closed at a price of $52 per share on Oct. 4, following the news of Musk's planned acquisition. That reflects a 22.2% increase from the prior day's close of $42.54.
If you had invested $1,000 into Twitter a year ago, you'd have less money currently. Your investment would be worth around $890 as of Oct. 4, according to CNBC's calculations.
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However, if you'd invested $1,000 into Twitter five years ago, your investment would have nearly tripled in value and be worth around $2,929 as of Oct. 4, per CNBC's calculations.
And if you had invested $1,000 into Twitter when the company went public in 2013 at the offer price of $26 per share, your investment would be worth about $2,000 as of Oct. 4 before fees, CNBC found.
Meanwhile, Tesla shares closed at $249.44 per share on Oct. 4. The electric vehicle maker's shares are currently down about 32% in 2022.
Musk and Twitter have been locked in a battle of "deal or no deal" since April, when the billionaire initially offered to buy the social media platform for $44 billion. However, Musk attempted to back out of the deal in July. Twitter then sued him to force him to complete the deal, and the two parties were scheduled to go to trial on Oct. 17 in Delaware.
If you're considering investing in Twitter, Tesla or another publicly traded company remember: Given the unpredictability of the stock market, you shouldn't use a stock's past performance as an indicator of how well it will perform in the future.
Rather than attempting to select individual stocks, a passive investment strategy tends to make sense for most investors. Investing in an index like the S&P 500, which tracks the stock performance of 500 large American publicly traded companies, can be a great way to start.
As of Oct. 4, the S&P 500 was down close to 12% compared to 12 months ago. However, the index has grown by about 49% since 2017 and increased by nearly 117% since 2013.
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